Here’re River Oaks Capital’s Updates on Old Market Capital Corporation (OMCC)

River Oaks Capital, an investment management company, released its fourth-quarter investor letter. A copy of the letter can be downloaded here. For the one year period, the fund returned 23.9% compared to the Russell 2000 TR’s 11.5% return and the Russell Microcap TR’s 13.7% return. In addition, please check the fund’s top five holdings to know its best picks in 2024.

In its fourth quarter 2024 investor letter, River Oaks Capital emphasized stocks such as Old Market Capital Corporation (NASDAQ:OMCC). Old Market Capital Corporation (NASDAQ:OMCC) offers broadband internet, voice over internet protocol, and video services in Northwest and Northcentral Ohio. The one-month return of Old Market Capital Corporation (NASDAQ:OMCC) was 0.32%, and its shares lost 11.74% of their value over the last 52 weeks. On February 21, 2025, Old Market Capital Corporation (NASDAQ:OMCC) stock closed at $6.20 per share with a market capitalization of $41.255 million.

River Oaks Capital stated the following regarding Old Market Capital Corporation (NASDAQ:OMCC) in its Q4 2024 investor letter:

“Old Market Capital Corporation (NASDAQ:OMCC)– previously named Nicholas Financial – was a subprime auto lender that sold their loan book and now has majority ownership in Amplex Internet alongside ~$29m of cash to invest. It is our tenth largest position in the fund and now has a market cap of $40m.

If you recall, in April of 2024, Old Market Capital closed on a sale of their entire subprime auto loan book to Westlake Financial leaving the company with ~$65m of cash and no debt on the balance sheet.

As mentioned in H1 2024 letter, I initially would have much preferred if Old Market Capital would have returned the ~$65m of cash – $9 per share – they had received from the sale of their subprime auto loan book to shareholders…” (Click here to read the full text)

A technician setting up a tower to improve the city’s broadband coverage.

Old Market Capital Corporation (NASDAQ:OMCC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. While we acknowledge the potential of Old Market Capital Corporation (NASDAQ:OMCC) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

In addition, please check out our hedge fund investor letters Q4 2024 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.